The downfall of UkrLandFarming may have devastating consequences for Ukraine
15 January 2020
UkrLandFarming, one of Ukraine’s largest agroholdings, has been at the center of a corruption scandal after its owner Oleh Bahmatyuk was declared wanted in charge of money-laundering and illicit enrichment and fled the country. Oleh Bahmatyuk considers the allegations as baseless and the investigation process on behalf of Ukrainian legal authorities as biased. “Taking into account the scale of UkrLandFarming’s operations, the situation might result in serious negative consequences not only for the Ukrainian farming sector, but also for Ukraine in general”, says ex-deputy and member of the Agriculture and Land Committee of the Parliament of Ukraine Ivan Miroshnychenko.
UkrLandFarming generates up to 1.5% of Ukraine’s GDP, and its debt portfolio is estimated at $ 1.65 billion. Meanwhile, the ongoing legal proceedings related to this case raised concerns among the international creditors of the agroholding.